Oil, Lube and Filter Employee Pay

We have been studying the labor rates of Oil, Lube and Filter Quick Lube Facilities and we are finding that the pay is lower than you might expect. We also believe this is part of the problem with recruiting and retaining key employees. The average employee at a Quick Lube is a little under $7.00, which is lower than you would expect and certainly lower than the customer is thinking you are paying. This maybe why the average employee only stays employed about 1.8 years and then leaves for greener employment.

A recent survey shoed us that the pay was actually $7.75 and the average employee stayed on 2 years, this is not what we found in our survey talking to people in the business. Of course in our survey we did factor in Wal-Mart quick lubes which so many in the industry deny their existence even though they command over 11% market share and growing at 2% per year, we expect by 4% per year by 2005. The average Manager in the Industry is being paid $32,519.00 yearly from an ASO Magazine and NOLN-National Oil and Lube News. The average manager is staying about 4 years. But we think these numbers will change as competition continued to increase and we are predicting 980 new Oil and Lube buildings to be erected and start business by End of Year 2004.

We have seen in the Pharmacy Business where companies compete for top managers and this will continue into this industry. Lube owners in the same survey showed that they took draws of $54,835.00, which is most likely going to be higher in 2004 judging by the upward trend. Although we saw 440 Lube Companies withdraw from the market in the past 6 months. Mostly due to being too close to Wal-Mart, Lawsuits and employee issues. Which is why this article is a wake-up call. The average in the mobile oil change and on-site fleet oil change business is about $10.00 per hour with incentives. Managers of crews when teams are involved are usually $15.50 per hour plus incentives and average then about $42,000 per year on an annual basis. Owners of mobile units appear to be taking home much less than their fixed site competitors. Although those with many units seem to be doing a higher profit margin over all.

One gentleman in Oklahoma City area told us he did 1.2 million per year with five units and cleared 200K. We have not verified this information in a recent phone call. Another we talked to out of El Paso with five mobile units said he had beaten the city's new ordinance to prevent on-site maintenance and then conveniently call mobile on-site oil changes for fleet vehicles on-site auto repair which triggered a citation from the city code enforcement. Of course it was a fixed site competitor who turned them in. Now that fixed site competitor was listed in the paper for causing the controversy and his business is now half.

We think this is very apropos and will also attack any good ole' boy insider who attempts this tactic against our team. We will literally take them out if nothing more than a simple example of why you do not play politics with us. This gentleman in El Paso used this same tactic and destroyed that company who turned him in. Too bad? But in the end if we look at this from a realistic stand point the mobile service was more efficient in the market place and used this efficiency to pay higher wages and give better service "We come to you" approach is much preferred by consumers nearly 4 to one. Eventhough there is no waiting in line, some customers about 23% preferred fixed locations because they never had to make an appointment or because they would be shopping (I.E. Wal-Mart). The customers are saying that in the fixed sites they question the labor there many times.

Women say that the guys make comments which are somewhat questionable and semi-inappropriate, nothing that you could put your finger on, but they said at first the flirting was okay, but it gets old after a while and many said they were not interested in going back again? One said that an employee she knew from around town was known to have been running with a bad crowd. We found these comments interesting because in a survey in

http://www.NOLN.com

it was found that 95% of Oil Lube Sites did in fact do some background checks and in 33% of the case they also did drug testing. In places like Las Vegas, NV and Billings, MT and Miami, FL and Detroit, MI most of New England States and WA and OR they nearly all did research into the persons drug habits. Although some admitted to us in Las Vegas "If we never hired anyone with a drug problem, we couldn't get any technicians?" We did not comment because there are plenty of Filipinos and Mormon Families, which were very unlikely to have been involved in the drug scenes. It seems that we can understand the problems, maybe the issue is with the pay. Find good people and once they prove themselves ask them for names of friends and start hiking up their pay to something that will yield you a better retention rate than 1.8 to 2 years.

We were shocked to find also that the average company spends over 25 hours per year in formal training. If you are going to spend that kind of money and you really need to, then you need to get a return on that money. Also realize that if you do not put in the training time, God help you when the OSHA guy comes by and asks one of your employees if he knows where the safety information is? Employee Retention will continue to be an issue and labor expenses will continue to go up because there is a shortage of experienced technicians and with an expanding up cycle hits the automotive sector there are sure to be issues with finding good people to do all the work.

RELATED ARTICLESTaking a Survival Type Job Is Good For You.
Ugh! Arg! How can a survivor type job be good for me?
I'm barely hanging on to what I found and at minimum
wage. (I have been promised a ten cent an hour increase
in one month).
Your Job Search Is A Marketing Campaign (Part 2)
Here's a continuation of my article from a few months back on how the successful job search is really just a personal marketing campaign.
Writing Powerful Resumes ? 10 Golden Rules
Your resume is your sales letter. It may not get you the job. But it must get you an interview. The resume should be written to arouse the interest of the employer so that you get your appointment for an interview. This is the primary purpose of a resume. Here are ten golden rules to follow in creating a very powerful resume.
What To Do When Your Boss Is a Butthead
I've never worked for a boss I didn't like or respect. Sure, some were better than others, but I never considered quitting my job because of a bad boss. Unfortunately, many employees aren't so lucky.
Working Abroad - Employment Advice In Spain
Jobs and employment on the Costa Blanca
The Top 10 Ways to Achieve Balance in Your Life
1. Define Success for Yourself
How Can You Find Freelance Writing Jobs?
Do you think that there is a big sign that reads, "Freelance Writing Jobs, Apply Within"? There just is not. In fact, you may have a hard time finding writing jobs of any type advertised in any employment magazine or newspaper either. So, how do you find freelance writing jobs? Let us talk about this for a moment and see if we can't find an idea or two that will work for you.
How To Conduct A Successful Job Search Campaign
1.Define your objective: Know what kind of work you most enjoy and perform the best. This requires self-evaluation, spending time looking at your interests and abilities.
Stop Searching for A Job and Start Attracting Professional Success!
1. Assess ? Evaluate your skills, interests and abilities. Understand the transferable value in the marketplace.
Searching for an Executive Job
A job search for executives is far less complicated today than it has been in the past. Anyone who is looking for an executive job can simply look to the Internet where there are hundreds of employment websites, with many specifically geared towards executives. These websites offer individuals the opportunity to network with other executives in order to share ideas, offer communication about opportunities and support that can be useful during a job search.
Should You Lie On Your Resume?
Warning: Lying on your resume could cost you your job and your freedom.
Mid-Life Crisis: Its Not Just for Men Anymore!
A recent story in Career Journal begins:
Change Your Life, Change Your Career And Get A New Job!
Careers dictate resume format
How To Pick The Best Career For You, Part 1
In Part One we'll look at how Positioning or "Coming to a Theater Near You" simplifies and expedites your employment hunt by reinforcing employer buy-in through justification of the sale.
Resumes That Work: 3 Steps to More and Better Interviews
All of us involved with helping you get a new job, whether as third party recruiters or as representatives of a company, are evaluating you for employment are all receiving hundreds of emailed resumes a day. Having done professional search work for more than thirty years, I have seen both resumes change and how they are delivered change. The change in delivery means that how you think of your resume being seen needs to change too.
Factual Employment Screening Part 1
We have all heard in recent years that the need for a substantive policy of conducting pre-and post-employment background checks exists in more than just defense contractor and fiduciary-based enterprises. Today, with the overwhelming preponderance of employer liability litigation, and with negligent hiring being the focal point of round-table discussions of some of the plaintiff's firms, the need for thorough background checks has been substantiated. This is a common sense perspective, not only from the standpoint of getting the best possible people for the job, but also to protect a company form this type of litigation.
Certification for Freelancers and Home-Based Business Owners
When we think of technical certification, most of us think of the seemingly endless jumble of letters that follow the names of information technology experts-MCSE, MCSA, A+, CCNA, etc. These certifications serve as standardized, objective validations that the person holding them possesses a certain set of skills and a certain level of professional competency.
Sweeping Up Worms
With the opening of a new venture and numerous reporters arriving in an hour, it felt like one of those "chickens with heads off" days. We were close, but not ready. So like locusts to a wheat field, a swarm of people were devouring the last minute details. Then, it rained. With rain, came worms, hundreds washing onto the entrance sidewalk. When I returned to the area, I found a manager, several department supervisors and a director outside with brooms, sweeping up worms. No one asked them to sweep worms. But, with guests arriving shortly and no one else available, they found brooms and started sweeping.
Career Advice: Are Resumes Obsolete As A Primary Job Search Tool?
In a day of background checks, pre-employment drug screening and multiple interviews, where do resumes fit in? According to many successful job applicants, not very well. An ever-increasing number of new hires say that resumes were not crucial in landing them the job. Instead, they simply played a part in sealing the deal. If that's true, it means that mailing out resumes and waiting for the phone to ring is the last thing any recent grad or serious job seeker will want to do.
Ten Great Careers That Don?t Require A Four Year Degree
One of the great myths associated with the "American Dream" is that you need to have a four-year college degree to be successful. As the economy has shifted to the information age, with a greater reliance on technology and services, this belief applies less and less.